Indonesian tycoon inks deal to buy Straits Trading Building for $560m

The deal works out to $3,520 psf.

The Straits Trading Building will be sold to Indonesian magnate Tahir for a total consideration of $560m.

In a statement to the SGX, Tahir's investment holding company MYP Ltd. said that the tycoon has signed a letter of offer to acquire the building, and has paid 1% of the purchase consideration as deposit.

The Straits Trading Building will be sold by Sun Venture Group, which acquired the building in September 2014 for $450 million.

With the building's net lettable area (NLA) of 158,897 square feet, the purchase consideration works out to roughly $3,520 psf.

MYP said that the proposed acquisition will be funded by a combination of internal resources, bank borrowings and/or fund raising in the capital markets.